Legally, the State of California had legislation that didn’t make it legal to use “anything but the lawful money of the United States,” though this was something that supporters hoped to change. Following Gov. Brown’s decision, it’s likely other states will follow later down the road, as Bitcoins continue to gain a larger support group.

In addition, a number of different retailers and companies welcome Bitcoin payments, saying it doesn’t make sense to turn down any form of currency customers are willing to pay with.

Here is what Roger Dickinson (D-Sacramento), California Assemblyman, previously said in a press release:

“In an era of evolving payment methods, from Amazon Coins to Starbucks Stars, it is impractical to ignore the growing use of cash alternatives. This bill is intended to fine-tune current law to address Californians’ payment habits in the mobile and digital fields.”

The Internal Revenue Service (IRS) said Bitcoin and other cryptocurrencies cannot be classified as currency – but that hasn’t stopped investors and supporters from promoting their use. Despite California – and other states showing interest in cryptocurrencies – it seems unlikely the federal government will show the same enthusiasm.